FOR IMMEDIATE RELEASE
January 24, 2008
ADVANTEST CORPORATION
Toshio Maruyama, Representative Board Director, President & CEO
(Stock Code Number: 6857, TSE first section)
(Ticker Symbol: ATE, NYSE)
CONTACT:
Hiroshi Nakamura
Executive Officer & Senior Vice President, Financial Group
Phone: +81-(0)3-3214-7500
Revision of Earnings Forecast for the Fiscal Year Ending March 31, 2008
In light of recent changes in business performance, we hereby revise the earnings forecast for the fiscal year ending March 31, 2008, which were released on October 26, 2007, as follows:
(Consolidated Earnings) [US GAAP]
1. FY 2007 (April 1, 2007 to March 31, 2008)
| Net Sales | Operating income | Income before income | Net income | Net income per share |
| Million yen | Million yen | Million yen | Million yen | yen |
Previous forecast (A) | 230,000 | 47,000 | 51,000 | 33,000 | 178.40 |
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Revised forecast (B) | 180,000 | 24,000 | 25,000 | 17,000 | 92.56 |
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Difference (B-A) | (50,000) | (23,000) | (26,000) | (16,000) | (85.84) |
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Percentage change | (21.7%) | (48.9%) | (51.0%) | (48.5%) | (48.1%) |
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FY 2006 results | 235,012 | 56,792 | 61,090 | 35,556 | 190.01 |
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2. Reasons for the above Revisions
At the time the Interim Consolidated Financial Results for the six months ended September 30, 2007 were released in October 2007, we revised the consolidated earnings forecast for the fiscal year ending March 31, 2008 downward, due to expectations that the excessive supply of semiconductors and price decline risk resulting from the deterioration of the supply and demand balance in the semiconductors market would lead to semiconductor manufacturers continuing to exercise prudence with respect to their capital expenditures.
However, due to the continuing stagnation of the price of semiconductors during and after the third quarter of the current fiscal year, as well as the increasing uncertainty with respect to the future of the economy resulting from the instability of the financial market and concerns over a slowdown of the U.S. economy, semiconductor manufacturers’ inclination towards capital expenditure has shown further decline.
Accordingly, because we expect that the previously released forecasts for both net sales and income will not be achieved, we revise the consolidated earnings forecast for the fiscal year ending March 31, 2008 as above.
* Cautionary Statement with Respect to Forward-Looking Statements
This document contains “forward-looking statements” that are based on Advantest’s current expectations, estimates and projections. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause Advantest’s actual results, levels of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. These factors include: (i) changes in demand for the products and services produced and offered by Advantest’s customers, including semiconductors, communications services and electronic goods; (ii) circumstances relating to Advantest’s investment in technology, including its ability to timely develop products that meet the changing needs of semiconductor manufacturers and communications network equipment and components makers and service providers; (iii) significant changes in the competitive environment in the major markets where Advantest purchases materials, components and supplies for the production of its products or where its products are produced, distributed or sold; and (iv) changes in economic conditions, currency exchange rates or political stability in the major markets where Advantest procures materials, components and supplies for the production of its principal products or where its products are produced, distributed or sold. A discussion of these and other factors which may affect Advantest’s actual results, levels of activity, performance or achievements is contained in the “Operating and Financial Review and Prospects”, “Key Information - Risk Factors” and “Information on the Company” sections and elsewhere in Advantest’s annual report on Form 20-F, which is on file with the United States Securities and Exchange Commission.